Blue Ocean Strategy

Blue Ocean strategy

Blue oceans strategy aims at lowering the cost and increasing the value

1. Ford – T-Model – Standard product and people car (Similar to Swatch) – Mass production was new (Earlier models were expensive and hand-made)

2. AIMSA multiplex – Cinema Theatre –

a. Gave choice of movies by providing multiple screens.

b. To achieve profitability, shrunk the no of seats in each screen (in case less people turn up for a movie).

c. 2-3 people managed the entire projector room

3. Dell – Direct selling, standard and mass templatize, good inventory management, 1^st company to have negative working capital, deliver within 3 days, best after sales service

4. Opera – The ambiance

5. How do you ensure that you have competitive edge?

6. Insight – Needs – Fill the need gap by testing the idea